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PM proposes food processing factories in all regions to boost value addition

by reporter
June 8, 2026
in Latest
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Smiling man in a dark suit and red tie speaks at a podium with microphones at a conference.

Prime Minister Elijah Ngurare has proposed the establishment of agro-processing factories in every region of Namibia, tailored to local resources and economic strengths, as part of efforts to boost value addition, industrialisation and job creation.

Ngurare made the proposal while delivering the keynote address at the Nkurenkuru Expo 2026 Gala Dinner in the Kavango West Region on 6 June, where he argued that regional development should be driven by industries aligned to each area’s comparative advantages.

“The establishment of food processing factories in every region of Namibia, tailored to each region’s unique characteristics and natural resources,” said Ngurare.

He said decentralised agro-processing would help unlock economic opportunities across the country while ensuring that regions contribute more directly to national production and industrial development.

The Prime Minister also called for the accelerated decentralisation of government institutions that continue to serve Kavango West from neighbouring regions.

“Institutions that continue to serve the people of Kavango West from neighbouring regions should accelerate the decentralisation of their operations, bringing services closer to the communities they serve,” he said.

Ngurare said Namibia’s regional development agenda must be underpinned by investments in infrastructure, agro-processing, tourism, renewable energy and manufacturing, adding that the country’s economic potential must be translated into productive industries and employment opportunities.

He further stressed that sustainable regional growth would require stronger collaboration between government, the private sector and development partners to expand investment and create jobs, particularly in rural areas.

His remarks come as Namibia’s Sixth National Development Plan (NDP6) identifies agro-processing as a key pillar of the country’s industrialisation strategy.

Under the plan, the sector’s contribution to gross domestic product is expected to increase from 7.5% to 10% by 2030. Agro-processing currently accounts for about 70% of Namibia’s manufacturing output.

NDP6 also targets a reduction in post-harvest losses from 24% to 15% by 2030, while local horticultural production is expected to rise from 47% to 60%. Agro-processed exports are projected to increase from N$1.3 million to N$5 million over the same period.

The development plan advocates a shift away from exporting raw agricultural commodities towards higher-value processed products for both domestic and export markets. The strategy is aimed at improving food security, increasing productivity and reducing Namibia’s dependence on imports.

However, NDP6 notes that the sector continues to face structural constraints, including limited processing capacity and a heavy reliance on imported horticultural products.

Namibia imports horticultural products worth approximately N$534 million annually, compared to local agro-processed output valued at N$124 million.

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